Solana (SOL) Starts to Retreat From Highs as Momentum Shows Early Fatigue
Overview
Solana has experienced a notable retreat from its recent highs, failing to maintain a price above $144. Currently, SOL is trading below $140, indicating early signs of momentum fatigue as it embarks on a downside correction.
Current Price Movement
Solana’s price initially struggled to surpass $148, which marked a pivotal point for the cryptocurrency. Following this, SOL entered a downside correction, dropping below the $145 and $144 thresholds, thereby entering a short-term bearish zone. This decline was further confirmed by a break below a bullish trend line with support at $144 on the hourly chart of the SOL/USD pair.
As of now, Solana’s price is hovering above $135 and remains above the 100-hourly simple moving average. However, resistance is evident near the $142 level, with significant resistance at $145 and a major resistance point at $148. A successful closure above the $148 resistance could indicate potential for further upward movement.
Conversely, if SOL fails to break above the $145 resistance, it could trigger further declines. Initial support is identified around the $135 zone, along with the 50% Fibonacci retracement level of the upward wave from the $123 swing low to the $147 high. A breach below the $132 level may lead to a decline towards the $128 support zone, with a further drop below $128 suggesting a potential decline toward the $122 support level.
Impact on the crypto market
- Solana’s inability to maintain prices above $144 may signal a shift in market sentiment toward bearishness.
- The current trading levels indicate potential volatility, affecting trader confidence and market stability.
- Resistance levels at $142 and $145 will be critical in determining the next price movement for SOL.
- The established support levels at $135 and $132 could serve as important indicators for future price corrections.
- Overall market dynamics may be influenced by Solana’s performance, as it is a significant player within the cryptocurrency landscape.
Updated: 12/5/2025, 5:24:48 AM
